It, of course, isn’t necessarily just an issue regarding disagreement, or even money. The issues have been around for years when even the British Columbia Trucking Association (BCTA) has inquired and even demanded that the trucking license system be amended or reworked, for good reason.
When motor carriers require those licenses, mandating that all truck drivers receive valid permits, you’re talking about a system that already faces many heavy requirements, and for those dedicated drivers out there facing a timeline before being able to get out on the road and work, that’s a perfect recipe for an industry that’ll continue to struggle, wading through quicksand and never getting out.
It Was so Bad in Port Metro Vancouver That There Even Was a Strike
Truckers apparently had all they could take back in 2013 when they willingly withdrew their services, putting on an effective halt of logistics and statistically wedging this dysfunction into the hide of such a mega-monster as the trucking industry is.
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Because of the strike, container movements practically screeched to a grinding halt, garnering enough attention to make those multilevel facets of government do double-takes and ask the question – “should we take a look at the licensing and see if we can make it better?”
During the strike, truckers wanted higher wages. That was largely the bulk of their reasoning, as the current policy for licensing dragged out timelines so bad that it could have very well just been similar for all truck drivers to sit on their hands and daydream, which does not accomplish anything. Still, at first glance, we could understand why truck drivers all over were crying foul and having some beef with the established port procedure, with an average pay rate of $15.59 per hour, not very impressive compared to the standard $23 all over the rest of the province.
The strike had essentially lasted for a good four weeks, reducing containers and practically damaging the industry. It made sense that truck license reform made headlines, particularly with Port Metro Vancouver.
But Increase Licensing Fees? Requirements? Can That Be a Good Thing?
What you have to understand, though, is that the point of this coming modification of trucking licensee is to streamline the industry, cut down on those smaller companies that might not have the means to make it work with licensee. Unfair? Many would say so, but the fact is this truly is an industry that may need to break a few eggs to make some omelets.
Some of the requirements include a minimum fleet mandate of five trucks and a performance bond of $300,000, hence meaning any company forced to invest in just enough trucks and pay the required rates for licensee – or else cough up a hefty $300,000 to the government – can legally conduct business. The requirements don’t stop there; you’ve even got a new potential mandate stating that logistics companies must have a fleet of trucks standing at year 2000 or even newer with their engines, promoting longevity and slimmer costs on maintenance.
Additionally, though, it’s fair to make a point that the new potential modification plan for trucking port licensee will also set up a policy to rate current licensed trucking corporations on several aspects of excellence:
- Safety Compliance
- Pay Rate Adherence
- Asset Utilization
- Operational Performance
- Average Fleet Age
Those successful companies out there will be tested and graded to maintain health and efficiency in the industry. You can count on that.
Other expectations include the expectation to offer multiple chassis per truck, bolstering quality assurance and excellence both on the road and overall maintenance. It does sound positive, but there are those who disagree….
The Strike Emphasized That There Was a Problem With the Trucking Industry
The question then is simply this: will this modification of the trucking licensure system improve things? Or will it make it worse?
Disagreements are already running high, moguls asking about why trucking companies would even have insurance to cover unexpected situations and disasters related to inefficiencies with operations. Should that be an excuse? Perhaps, perhaps not. Why do smaller companies have to be forced to essentially grow and expand before obtaining legal compliance with this new licensing system? Is that really necessary?
So many questions, very little answers; we will simply have to wait and see.